Daily charter rates for very large crude carriers, or VLCCs (the largest crude tankers), traveling from the Persian Gulf to China have exceeded $1 million for the first time. Baltic Exchange data compiled on the 14th showed rates reaching $1,035,000 per day, while ships loading in the Gulf of Oman and bypassing the Strait of Hormuz reached about $644,000. Avoidance of the strait has made ship-to-ship transfers a standard part of regional logistics, extending voyages and reducing available tanker capacity. Attacks by Yemen's Houthi rebels have also disrupted Saudi Arabian crude shipments, prompting some vessels to take routes around Africa that add about 30 days. Strong demand for crude transportation persists as wars in Iran and Ukraine tighten supplies of refined products and lift refining margins. Market observers say freight rates may remain elevated while geopolitical tensions around Hormuz continue.